Tag: lock in profits

The Conservative Barbell Strategy: We recently reviewed a book written by Nassim Taleb called “The Black Swan”. In it, the author suggests an approach for investing called the Barbell Strategy. The approach is based on the concern that unexpected market events can happen with devastating impact to our portfolios. The Black Swan is about such events that are generally unknown, unpredictable, and cannot be planned against to mitigate losses. Because they are unpredictable they cannot be avoided, we need a way to protect assets as best we can against these unforeseen events. The Barbell strategy uses the two extremes: Ultra conservative positions at one end and highly leveraged, speculative positions at the other end of the risk range. The strategy advocates having most assets in very safe securities like treasury bills or conservative options and a small portion in high risk – high reward securities like long put or call…

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PowerOptions has added many great tools for options traders over the years. Not all of them perfectly fit into the “strategy” navigation theme that we use. As a result, some of the best tools we offer have been obscured from obvious use. Our latest update to the site has been to gather up all of these tools and put them in one place for easy access. – The SIGNATURE TOOLS tab… What might you find there?